Operation and Maintenance Procedures for Pipelines

DEPARTMENT OF TRANSPORTATION

Research and Special Programs Administration

49 CFR Part 192

[Docket No. PS-113; Amendment 192-71A, 195-49A]

RIN 2137-AB44

Operation and Maintenance Procedures for Pipelines

AGENCY: Research and Special Programs Administration (RSPA), DOT.

ACTION: Final Rule: Response to Petition for Reconsideration.

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SUMMARY: On February 11, 1994, RSPA issued a final rule amending

existing operation and maintenance (O&M) procedures for gas pipeline

facilities. The American Gas Association (Petitioner or A.G.A.) filed a

Petition for Reconsideration (petition) concerning five provisions of

the final rule. After careful consideration of the petition, RSPA

concludes the petition should be denied in part, and granted in part.

RSPA is granting those aspects of the petition that relate to: (1)

procedures required to be included in an operator's O&M manual, and (2)

the extent of the requirement to address malfunctions and other

deviations during abnormal operations.

EFFECTIVE DATE: This final rule takes effect April 17, 1995.

FOR FURTHER INFORMATION CONTACT: Mike Israni (202) 366-4571, concerning

the contents of this final rule, or the Dockets Unit, (202) 366-4453,

regarding copies of this final rule or other material in the docket.

SUPPLEMENTARY INFORMATION:

Background

RSPA promulgated the final rule on Operations and Maintenance

Procedures for Pipelines (59 FR 6579; February 11, 1994) pursuant to 49

U.S.C. 60101 et seq. The purpose of the rule is to ensure that gas

pipeline operators maintain thorough gas pipeline operation and

maintenance (O&M) procedures. Gas pipeline operators are now required

to include detailed procedures on normal and abnormal operation,

maintenance and emergency-response activities in their O&M manual. Gas

pipeline operators are also responsible for annually reviewing and

updating their O&M manual. Furthermore, both gas and hazardous liquid

pipeline operators are required to prepare procedures to be followed to

safeguard personnel from the hazards associated with the unsafe

accumulation of vapor or gas in excavated trenches. As RSPA explained

in the final rule, these actions will reduce the likelihood of pipeline

failures, and provide a better basis for personnel training.

Summary of Petition and Comments on Petition

In its petition, A.G.A. raised five issues relating to various

aspects of the final rule, and requested that RSPA modify or clarify

the final rule accordingly. The following sections summarize the issues

raised in the petition, and provide RSPA's response to each request.

I. Extent of a Gas Pipeline Operator's Annual Review of its O&M Manual

Petitioner asserts that the requirement that an operator review its

activities periodically to determine the effectiveness of its operation

and maintenance procedures (49 CFR 192.605(b)(8)) coupled with the

limited amount of time estimated to be required to complete an annual

update of an operator's procedures supports a change in 49 CFR

192.605(a). Specifically, petitioner urges that the annual review

required by section 192.605(a) be limited to changes needed to address

any new regulatory changes. Petitioner overstates the burden that an

annual review would place on operators if the review is not limited to

updates because of regulatory changes. Although the annual review is

not limited to regulatory changes, Sec. 192.605(a) does not require an

annual line-by-line review of every procedure contained in an

operator's manual. Neither does it require an annual comprehensive

review of an operator's activities to determine whether changes to the

operation and maintenance manual are needed.

The annual review under Sec. 192.605(a) requires that an operator

annually review its manual, and that deficiencies identified during

periodic reviews of activities (under Sec. 192.605(b)(8)) are

addressed. While serious deficiencies, possibly identified following an

accident, may require immediate correction of operating procedures,

other deficiencies may await an annual update. Updating of operation

and maintenance procedures on a regular, established basis makes good

business sense and enhances the safe operation of the pipeline.

Retaining outdated procedures could confuse an operator's personnel as

to the appropriate course of action.

Petitioner stated that 4.4 hours is insufficient time for one of

its member operators to complete this review. We agree. The 4.4 hours

noted in the preamble was based on 54,300 operators. The majority

(52,000) of these operators are the master meter operators, whose plans

are expected to be very simple and will have a minimal effect. In the

justification to support the Paperwork Reduction Act, RSPA calculated

that the initial burden was 104.3 hours per operator (based on 2,300

operators), excluding master meter operators. This 104.3 hours includes

52.2 hours that were already required by earlier O&M regulations. The

additional 52.1 burden hours represent a one-time effort to develop

additional O&M procedures that will affect these 2,300 operators only

in the first year following the publication of this regulation. After

the first year, the burden hours of all O&M regulations will return to

the annual 52.2 hours per year per operator. The paper work

justification is filed in the Docket.

Accordingly, Petitioner's request to limit the annual review

required by Sec. 192.605(a) is denied.

II. Procedures Required To Be Included in an Operator's O&M Manual

In its petition, A.G.A. asserts that section 192.605(b) of the

final rule should be clarified to reflect that an operator must only

include procedures in its manual that are applicable to its particular

pipeline system (49 CFR 192.605(b)). Petitioner believes that as

written, the regulation requires a gas pipeline operator to include O&M

procedures responsive to all of the procedural requirements listed

under sections 192.605(b)(1)-(10), regardless of whether particular

regulations are applicable to an operator's pipeline system.

In the final rule, Sec. 192.605(b) requires that the O&M manual

required by Sec. 192.605(a) must include certain specific procedures to

provide safety during maintenance and operations. Sections

192.605(b)(1)-(10) list ten [[Page 14380]] specific procedural elements

which are to be included in the operator's manual. However, not all of

these subsections are applicable to operations and maintenance

activities at every gas pipeline facility. RSPA never intended that a

gas pipeline operator have every procedure set forth in those

subsections. In response to comments, RSPA stated in the preamble to

the final rule (59 FR 6580) that:

RSPA requires operators to prepare O&M procedures only for those

pipeline facilities within their system. For example, it would not

be necessary to prepare compressor startup procedures if the company

has no compressors. The procedures should be clear, straightforward

and applicable to the company's system.

Petitioner suggests that the words ``if applicable'' be added after

the word ``following'' to the text of Sec. 192.605(b) to clarify that

procedures be prepared for operational situations only to the extent

that an operator will face such a situation.

RSPA agrees that the regulation, as written, may seem to

unnecessarily require an operator to produce procedures relating to the

operation of a gas pipeline system that have no practical value to

anyone. Therefore, RSPA is amending the final rule by adding the term

``if applicable'' in the text of Sec. 192.605(b) after the word

``following.''

III. Procedures Regarding Protection of Personnel in Excavated Trenches

From Unsafe Accumulations of Vapor or Gas

Petitioner also requested that the requirement that operators

include procedures in their operations manuals relating to worker

exposure to gas or hazardous vapors in excavated trenches (49 CFR

192.605(b)(9) and 49 CFR 195.402(c)(14)) be broadened to require

operators to include procedures to address worker safety in general.

Sections 192.605(b)(9) and 195.402(c)(14) of the final rule require

that gas and hazardous liquid operators include procedures in their

respective O&M plans to address the following:

Taking adequate precautions in excavated trenches to protect

personnel from the hazards of unsafe accumulations of vapor or gas,

and making available when needed at the excavation, emergency rescue

equipment, including a breathing apparatus and a rescue harness and

line.

RSPA does not agree with Petitioner's argument that a requirement

specifically addressing worker safety in excavated trenches will give

the ``impression that this is the only worker safety provision that

need be addressed in a proper O&M plan.'' While it may be the only

provision in this rulemaking directly addressing worker safety, many of

RSPA's rules indirectly impact worker safety.

Petitioner also argues that ``RSPA has not demonstrated that

current Office of Pipeline Safety (OPS) regulations do not adequately

prevent worker exposure to hazardous vapors or gas.'' RSPA has broad

rulemaking authority for pipeline safety. Under this authority, RSPA

may issue regulations to address specific worker safety issues as they

relate to the safe and environmentally sound transportation of gas by

pipeline. It is not necessary that RSPA ``demonstrate'' that current

regulations are inadequate before issuing specific safety regulations.

Petitioner urges RSPA to revise the worker safety provision,

stating that worker safety issues should not be addressed specifically,

but instead that the issue be addressed generically. This suggestion

goes beyond the scope of the NPRM and is not adopted.

RSPA disagrees with Petitioner's claim that compliance with this

provision would entail enormous costs. RSPA prepared a Regulatory

Evaluation which concluded that the final rule would have a positive

cost/benefit ratio. Costs of complying with the final rule are small

because most operators need only make emergency rescue equipment

available when needed at the trench excavation. RSPA did not receive

any comments to the preliminary regulatory evaluation that accompanied

the NPRM and A.G.A. has not provided detailed information about

increased costs. Furthermore, since most operators regularly train

employees in industrial safety, and currently include operator safety

as an integral part of their O&M plan, RSPA believes the costs of

revising the O&M plan to include worker safety would not be increased

significantly.

Accordingly, Petitioner's request to change sections 192.605(b)(9)

and 195.402(c)(14) is denied.

IV. Extent of Requirement to Address Malfunctions and Other Deviations

During Abnormal Operations

In its petition, A.G.A. also requested that RSPA should remove the

requirement in 49 CFR 192.605(c)(1)(v) requiring that an operator

address abnormal operations in its O&M manual. The rule states as

follows:

(c) Abnormal operation. For transmission lines, the manual required

by paragraph (a) of this section must include procedures for the

following to provide safety when operating design limits have been

exceeded:

(1) Responding to, investigating, and correcting the cause of:

* * * * *

(v) Any other malfunction of a component, deviation from normal

operation, or personnel error which may result in a hazard to persons

or property.

Petitioner asserts that this language is confusing and could be

interpreted to require operators to have written procedures in their

O&M manual describing how to respond to unforeseeable malfunctions,

deviations from normal operation, or personnel error. Petitioner

requests that RSPA clarify the regulation to indicate that an operator

need only include written procedures for ``foreseeable'' malfunctions

when design limits have been exceeded.

The operator is required to prepare procedures when operating

design limits have been exceeded, such as limits of pressure, flow, and

temperature that indicate an abnormal condition which should be

investigated and corrected to avoid approaching the strength limits of

the system and the potential for failure. Pipeline systems vary, and an

operator must be able to provide procedures to apply to the particular

requirements of its system. The operator must plan for potential

foreseeable causes of abnormal pipeline operations.

The identical rule for hazardous liquids, 49 CFR 195.402(d)(1)(v)

has been in effect since 1979 (44 FR 41197, July 16, 1979). Regulated

hazardous liquid pipeline operators have not been confused by the

regulation, apparently assuming correctly that the rule only applies to

foreseeable events. However, to avoid confusion, RSPA is amending the

final rule to add the word ``foreseeable'' in section 192.605(c)(1)(v).

V. Extent of Requirement That Operators of Natural Gas Distribution

Systems Prepare Procedures for Addressing Abnormal Operations

Petitioner asserts that the final rule should exempt natural gas

distribution systems from the requirement to have procedures for

addressing abnormal operations on its transmission lines as described

in 49 CFR 192.605(c) of the final rule. A.G.A. contends that many small

diameter and short distance pipelines ``have little similarity'' to

interstate transmission systems, but are regulated as transmission

lines only because they operate at above 20 percent of the pipe's

specified minimum yield strength (SMYS). Petitioner stated that

compliance with the regulation would require separate abnormal

operations plans for each separate section of pipe. [[Page 14381]]

RSPA agrees with Petitioner that natural gas transmission lines

operated by distribution operators in connection with their

distribution systems should be exempt from the requirement to have

procedures that address abnormal operations. This was the intent of the

final rule. The preamble to the final rule stated that ``[d]istribution

system operators are not required to prepare a manual for abnormal

conditions because they normally operate distribution pipelines at

lower pressures than transmission pipelines * * * due to the dangers

involved in operating in populated areas, most unusual operating

conditions would be considered by the distribution system operator to

be an emergency until the condition is resolved or corrected.'' (59 FR

6582; February 11, 1994.) Accordingly, RSPA is amending the final rule

to clarify that an operator of a high-pressure or low-pressure

distribution system, as defined in 49 CFR 192.3, is exempt from the

requirement to prepare a manual for abnormal operations.

Rulemaking Analyses

Executive Order 12866 and DOT Regulatory Policies and Procedures

This rule is not considered a significant regulatory action under

section 3(f) of Executive Order 12866 and, therefore, is not subject to

review by the Office of Management and Budget. The rule is not

considered significant under the regulatory policies and procedures of

the Department of Transportation (44 FR 11034; February 26, 1979)

because it merely clarifies the content of a final rule and does not

materially affect the substance of the final rule.

Federalism Assessment

This rule will not have substantial direct effects on the

relationship between the federal government and the states, or on the

distribution of power and responsibilities among the various levels of

government. This rule only makes minor editorial changes to a

previously issued rule. Therefore, in accordance with Executive Order

12612 (52 FR 41685, October 30, 1987) RSPA has determined that this

final rule does not have sufficient federalism implications to warrant

preparation of a Federalism Assessment.

Regulatory Flexibility Act

There are very few small entities that operate pipelines affected

by this rulemaking. To the extent than any small entity is affected,

the affect is minimal because it does not impose additional

requirements. Based on this fact, I certify under Section 605 of the

Regulatory Flexibility Act (5 U.S.C. 605; September 19, 1980) that this

rule does not have a significant economic impact on a substantial

number of small entities.

List of Subjects in 49 CFR Part 192

Pipeline safety, Reporting and recordkeeping requirements.

In consideration of the foregoing, part 192 is amended to read as

follows:

PART 192--[AMENDED]

1. The authority citation for part 192 continues to read as

follows:

Authority: 49 U.S.C. 5103, 60102, 60104, 60108, 60109, 60110,

60113, 60118; 49 CFR 1.53.

2. In Sec. 192.605, the introductory text of paragraph (b) is

revised to read as follows:

Sec. 192.605 Procedural manual for operations, maintenance, and

emergencies.

* * * * *

(b) Maintenance and normal operations. The manual required by

paragraph (a) of this section must include procedures for the

following, if applicable, to provide safety during maintenance and

operations.

* * * * *

3. In Sec. 192.605, paragraph (c)(1)(v) is revised, and a new

paragraph (c)(5) is added to read as follows:

Sec. 192.605 Procedural manual for operations, maintenance and

emergencies.

* * * * *

(c) * * *

(1) * * *

(v) Any other foreseeable malfunction of a component, deviation

from normal operation, or personnel error, which may result in a hazard

to persons or property.

* * * * *

(5) The requirements of this paragraph (c) do not apply to natural

gas distribution operators that are operating transmission lines in

connection with their distribution system.

D.K. Sharma,

Administrator, Research and Special Programs Administration.

[FR Doc. 95-6363 Filed 3-16-95; 8:45 am]

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